WELLESLEY, MA--(Marketwired - November 26, 2015) - The Internet of Things (IoT) is in its early stages but already there is significant revenue to be attained in the components segment of the market. BCC Research has determined that the total market for IoT devices and chipsets is expected to grow from nearly $4.2 billion in 2014 to close to $49.2 billion in 2020 at a compound annual growth rate (CAGR) of 49.3%. IoT devices are expected to account for an overwhelming percentage of this growth, going from $4 billion in 2014 to almost $48.4 billion in 2020, a CAGR of 49.5%. The IoT chipset industry will grow at a somewhat lower CAGR of 36.3%, primarily attributed to falling prices of chipsets over the forecast period.
The many facets of the IoT have created some controversy around its definition. In an attempt at clarification, the Institute of Electrical and Electronics Engineers (IEEE) issued a white paper in May 2015, titled, "Towards a definition of the Internet of Things." To simplify the key point of the definition, the IEEE states that the IoT includes enabling technologies and components, and the mechanisms to effectively integrate these components. Often this comes down to a network that enables the integration and a set of components that can range from autonomous sensors to smartphones.
While the phrase IoT was first coined by experts seeking to establish the universal electronic product code using radio frequency identification (RFID) systems, the many applications and industries enabled by IT networks with integrated components today is quickly redefining IoT beyond RFID, machine-to-machine (M2M) or any previous point interconnection technology. IoT encompasses all of these and through the Internet, mobile devices and data analytics, new layers of capability are being added all the time.
"The IoT market is booming but lacks clear direction and many companies are trying to come up their own solutions. Top players such as Google, Samsung and Apple are creating products for which they see a market where as many start-ups are coming up with novel ideas for technology adoption. The race is on to become vendor of choice," says BCC research analyst Anand Joshi. "The nature of IoT applications is limited only by one's imagination."
To illustrate the market opportunity presented by the current state of IoT, Internet of Things: Devices and Global Markets (IFT118A) has chosen to focus on the components rather than the mechanisms or analytics. Characterized broadly as IoT devices, these components include the ubiquitous sensors in all connectivity applications as well as other connectivity-enabled devices such as smartphones. This report also addresses the key subcomponents - the chipsets that comprise IoT devices. When added together, all these categories constitute a clear market for product manufacturers and service providers to target and take advantage of IoT growth.
About BCC Research
- ^ Internet of Things: Devices and Global Markets (ctt.marketwire.com)
- ^ www.bccresearch.com (ctt.marketwire.com)
- ^ http://www.marketwire.com/library/MwGo/2015/11/26/11G073635/Images/Iot_Report-7f2488062f8aaea399e08e0f3a2c85ff.jpg (www.marketwire.com)
- Covectra Announces New Anti-Counterfeit and Track & Trace System
- Researchers Predict IoT Attacks Will Characterize Emerging Threat in 2016
- Website To Rank Warehouse Management Software (WMS) Providers
- OMA Presents TestFest and Seminar Aimed at IoT Industry
- Omni-ID Named to Most Promising Oil & Gas Technology Solution Providers List by CIO Review
- Intrinsic-ID to Showcase IoT Security Solution at InvenSense Conf
- HID Global Prevents Mobile Banking Fraud While Making It Easier for Users to Conduct Transactions
- Mobeam Reaches 10 Million Installs of Its Beep'nGo Retail Payment App
- Checkpoint Chosen by Norway Retailer as Premier Supplier for RFID Tag
- Smartrac Unveils Superior Security PRELAM based on NXP’s latest MIFARE Plus SE Chip
- Smartrac Demonstrates the Full Potential of RFID Technology at CARTES
- HP Enterprise and Intel Collaborate On Solutions for the Internet of Things
- HPC Conference to Focus on High Performance Computing in Cybersecurity
- Cybersecurity Company Named One of North America's Fastest Growing
- Showing microSD Value for Mobile Payment at Cartes Secure Connexions 2015
- Independent Research Cites "Strong Performer" in Report on Subscription Billing Platforms
- Purchasing Platform Launches for Zoos and Aquariums
- Goodix Technology Human Interface Solutions Wins Two 2016 CES Innovation Awards
- Sigma Designs Acquires Technology to Enter Mobile IoT Market
- New MicroHAWK Barcode Readers Are World’s Smallest, Most Flexible Readers for OEM Installations
- FEIG Electronics’ RFID Technology Helps Leading Hospital Improve Patient Care
- AIM Releases New Publications on Data, RFID, Han Xin and IoT
- Zebra Technologies Announces 2015 Q3 Financial Results
- Retriever Communications Designs Paperbark, Mobile Enterprise Solution for Creating and Managing Electronic Forms
- Quest Solution, Inc. Schedules Conf Call On 3Q 2015 Results
- Ericsson and Cisco Partner to Create the Networks of the Future
- Wearable Sensor Company To Present At Conference
- How Industrial Manufacturers Better Integrate Their Supply Chains With ERP Software
- e.Digital Granted New Patent for Interpersonal Awareness and the Internet of Things Technologies
- Field Service Becomes First Industry to Be Transformed by Internet of Things, Says ServiceMax